We hope that you enjoyed a marvellous holiday break! The Reserve Bank of Australia (RBA) is also back at work, deciding to keep the official cash rate on hold at 2.0 per cent today during its first meeting for 2016.
This decision was widely expected by analysts, following positive news about our economy. Improvements in employment figures, retail spending and business confidence, combined with an Aussie dollar at more acceptable levels, have relieved pressure on the RBA to lower interest rates in the first quarter of this year.
The RBA last cut rates in February and May last year, bringing the official cash rate to an all-time low. While further rate cuts have been predicted for 2016, it looks as though these are now unlikely to occur until mid-year.
Despite the official cash rate being on hold, lenders have been making adjustments to home loan interest ratesover recent months. If you already have a home loan, we recommend you get in touch to ensure you're still getting the best rate available for you. If you're in the market to purchase a property in 2016, then now is a great time to talk to us about your plans so please give us a call today.